Market segmentation is a long-standing strategy used especially in consumer products. It is measurable, accessible, distinguishable, and actionable. Observing markets in the Philippines, can you identify market segments for fast food, garments, cigarettes, alcohol, computers, passenger cars, and beach resort? Please show the positioning of 2 consumer products and their competition in these segments.
For levels of Micromarketing
Segment Marketing – consists of a group of customers who share a similar set of needs wants. Rather than creating the segment, marketer’s task is to identify them and decide which one(s) to target. 2.
Niche Marketing – is a more narrowly defined customer group seeking a distinctive mix of benefits. Marketers usually identify niche by dividing a segment into subsegments. 3.
Local Marketing – is leading to marketing programs tailored to the needs and wants of local customer groups in trading areas, neighborhoods and even individual stores. 4.
Individual Marketing – the ultimate level of segmentation leads to “segments of one”, “customized marketing” or “one to one marketing”.
Market Segments in the Philippines
The report "Philippines Food, Beverages and Tobacco Market Forecast till 2011" by RNCOS is a work of in-depth study and evaluation of the past, current, and future market trends in the Food, Beverage and Tobacco industry of the Philippines. This report has been made to help clients in analyzing the opportunities, challenges and drivers critical to the growth of the industry in the East Asian country.
The report provides detailed overview of the consumption patterns of the Philippines in various food segments like consumption of milk, fruits, vegetables, meat etc. The beverage segment talks about the type of beverages, their sales and consumption patterns among Philippines while the tobacco segment provides a brief description of the tobacco industry in the country.
Key Findings of the Report
- Consumer expenditure on food, beverages and tobacco has increased strongly during 2001-2006 at a CAGR of 9.8% and it is expected to rise at a CAGR of 7.5% from 2007 to 2011. - Rise in the number of working women, longer working hours and more diverse eating habit has resulted in high consumption of ready-to-eat meals. - With the growing middle class population and changing lifestyle, the demand for organic food has increased considerably over the past few years and the annual growth rate is estimated at 10-20%. - Surging disposable incomes, demand for imported alcoholic beverages along with flavored alcoholic beverages is increasing. - Inadequate water supply along with healthy drink concerns have led to the growth in bottled water industry. It is predicted that the industry will move ahead at a CAGR of 15-18% in the coming few years. Fast Food
The study tried to develop a product-market structure of the fast-food restaurants in the Philippines. Using the concept of hierarchical clustering based on substitution-in-use, the influence of three categories of situational influence were used to modify the original choice-market mix relationship at every clustering stage. Changes in the importance of the individual components of the product-service mix served as the basis of the link-up among competing fast-food restaurants. Alcohol
The liquor industry in the Philippines consists of the indigenous and commercially manufactured beverages. The production of beer and other liquors is one of the most profitable industries in the Philippines. In fact, the country's biggest beer company, San Miguel Corporation (SMC), ranked number nine in the Philippine's Top Corporations of 1999 with a total sale of $766 million. SMC sold a total of 327.6 million bottles of beer in 1998. Liquor companies are partly owned by transnational corporations or wealthy Fil-Chinese industrialists whose businesses have been established since the Spanish colonization period in the eighteenth century....
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